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Kenvue, the planned multibillion-dollar spinoff of the consumer health brands of Johnson & Johnson, will make its global headquarters in Summit, according to a recent regulatory filing.
J&J, in the filing April 20, said it had entered into a long-term lease for a newly renovated office building and a newly constructed research & development building in Summit that — when completed — will encompass a total of approximately 290,000 square feet and serve as Kenvue’s new global corporate headquarters.
In addition to corporate office space, officials wrote that the campus will house laboratory space to principally support R&D.
Kenvue is taking a large space at Summit East, the 46-acre landscaped campus ideal for R&D, health care and specialty uses that was purchased by Onyx Equities in 2021.
The relocation to this campus is expected to begin in 2025 for the office building and continue through 2026 for occupancy into the new R&D building, officials said.
The expected lease expense is approximately $10 million per year with an initial term of 15 years, according to the filing.
J&J, in the filing, said Kenvue will continue to operate from its interim corporate headquarters in Skillman until that time. J&J is headquartered in New Brunswick.
Gov. Phil Murphy said the news is a big win for the state and his administration’s efforts to reinvigorate an innovation economy.
“For years, Johnson & Johnson has called New Jersey home — creating good-paying jobs and making invaluable contributions across our economy,” he told ROI-NJ. “It is great to hear that Kenvue has chosen to be headquartered in Summit and we look forward to the growth in innovation the company will bring to the community.”
Kenvue, which will be anchored by brands such as Band-Aid, Tylenol, Neutrogena and Listerine, is expected to generate billions in revenue, operating in more than 100 countries.
In 2022, J&J’s Consumer Health segment generated revenue of $15 billion, which, in and of itself, would make Kenvue a Fortune 100 company. During the first quarter of 2023, the unit generated $3.8 billion in sales — a 7% year-to-year growth.
Kenvue’s initial public offering, expected later this year, is expected to open at $20 to $23 a share, according to the filing. The new company would be valued at approximately $40 billion at that share range.
One source familiar with the search, but not authorized to speak publicly on it, said J&J wanted Kenvue to have some geographic distance from J&J, so it did not look closely at locations in New Brunswick. The company was said to have considered Jersey City and New York City before settling on the Summit site.
The company will not receive any incentives from the New Jersey Economic Development Authority for establishing its global headquarters in Summit, an EDA spokesperson said.
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